Applications Open for New Heating System Support Program: Get up to 70% of Costs Covered

New Heating System Rules. News. The third round of the financial support program, aimed at encouraging property owners to replace old heating systems with more eco-friendly options, began on Tuesday, August 27. Due to changes in heating laws, using old boilers will soon be banned. A new addition to the program allows people living in rented apartments to also qualify for a subsidy to upgrade their heating. Depending on income and how quickly the project is completed, support can cover up to 70% of the costs.

Funding Available for Replacing Heating Systems

Previously, only private owners of multi-family homes and self-occupied single-family houses could access the subsidy. Now, the program has been expanded, according to the responsible bank KfW, to include owners of rented single-family homes, businesses, and municipalities. This means the third round of support is now open to all the planned groups, greatly increasing the number of eligible beneficiaries.

The program offers subsidies covering at least 30% of the costs for replacing heating systems, whether for residential or commercial buildings. Depending on income and how quickly the project is completed, the support can reach up to 70%. Homeowners with an annual income of up to 40,000 euros who live in their property can receive an extra 30% bonus.

Until 2028, a “speed bonus” of 20% is also available for those who choose to replace their old heating systems with more eco-friendly options, like heat pumps, sooner. An additional 5% bonus is offered for installing heat pumps that use water, ground, sewage, or natural refrigerants.
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New Heating System Rules Starting in 2024

The new “Heizungsgesetz” (Heating Act) in Germany has stirred significant debate among politicians and the public. Starting in 2024, all newly installed heating systems in Germany must use 65% renewable energy. Initially, these regulations apply only to new buildings, so existing heating systems can continue to be used.